Renault Group announced on Monday that it will acquire the remaining 51% stake in Renault Nissan Automotive India Private Ltd (RNAIPL), currently held by Nissan Motor Corp, making Renault the sole owner of the company. This move is part of an ongoing restructuring of their partnership.
As part of the agreement, both companies will revise their cross-shareholdings, allowing each to reduce their stakes from 15% to 10%.
Renault will continue to hold an 18.66% stake in Nissan through a French trust.
Nissan will no longer be obligated to invest in Ampere, ending the investment agreement signed in July 2023.
“As a long-time partner of Nissan within the Alliance and as its main shareholder, Renault Group has a strong interest in seeing Nissan turn around its performance as quickly as possible. Pragmatism and a business-focused mindset were key in our discussions to find the most effective ways to support their recovery plan while exploring value-creating opportunities for Renault Group,” said Luca de Meo, CEO of Renault Group.
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Despite giving up its shareholding in RNAIPL, Nissan will maintain a strong presence in India, focusing on expanding market coverage, the company stated in its official release. The Chennai-based RNAIPL facility will continue to produce Nissan models, including the new Nissan Magnite, remaining central to Nissan’s growth strategy.
